REG-PJSC PhosAgro: RDIF, PhosAgro and IPL Sign Cooperation Agreement

PhosAgro PAOAnnouncement

05/10/2018 12:20

For Immediate Release   5 October 2018 

RDIF, PhosAgro and India's IPL Sign Cooperation Agreement in the Mineral
Fertilizer Sector

New Delhi, India – PhosAgro, a Russian vertically integrated company and one
of the world’s leading producers of phosphate-based fertilizers, announces
the signing today in New Dehli of an agreement with the Russian Direct
Investment Fund (RDIF) and Indian Potash Limited (IPL), India’s largest
importer of mineral fertilizers, that covers cooperation in the sphere of
mineral fertilizers.

The signed agreements were exchanged today in the presence of Russian
President Vladimir Putin and Indian Prime Minister Narendra Modi.

As part of a framework for mutually beneficial cooperation, IPL intends to
purchase for the Indian market up to 2 million tonnes of high-quality mineral
fertilizers produced by PhosAgro—DAP and NPK with various nutrient
content—in 2019-2021. The total value of deliveries is estimated at USD 1
billion. 

Under the agreement, RDIF, PhosAgro and IPL also plan to consider the
possibility of jointly implementing promising investment projects in the
mineral fertilizer sector, including associated infrastructure and the
introduction of advanced technologies that will contribute to the economic
prosperity of the Russian Federation and the Republic of India.

In addition, the parties expressed their intention to develop cooperation in a
number of areas, including the exchange of advanced know-how and the sharing
of best practices related to the agri-environmental use of fertilizers;
support for, and the development of, the practice of using more efficient
fertilizers; and participation in scientific and practical events related to
best available technologies in the mineral fertilizer industry.

PhosAgro CEO Andrey Guryev noted that “this cooperation agreement is a
significant contribution to the development of Russian non-resource-based
high-tech exports and an additional incentive for further investment in the
domestic mineral fertilizer industry, which will strengthen food security in
Russia and India and increase trade between our countries. Moreover, it will
increase the volume and expand the range of phosphorus-based fertilizers
supplied to India, which are known for their high quality and for having low
levels of potentially-harmful impurities, and which are in demand in 100
countries around the world.”

According to Kirill Dmitriev, CEO of RDIF, “our partnership with India’s
leading company in the fertilizer sector will further strengthen the position
of our portfolio company, PhosAgro, in international markets, and it will also
make an important contribution to the further development of bilateral
cooperation between Russia and India in the area of trade and commerce.”

The Managing Director of Indian Potash Limited, Parvinder Singh Gahlaut,
stressed that “this signed agreement is an important step in the development
of cooperation between our companies and countries in the mineral fertilizer
sector. PhosAgro’s products have always stood out because of their high
quality and efficiency, which is especially important for us because this will
create significant opportunities for our farmers to increase yields and
strengthen the country’s food security.”

For further information please contact:

PhosAgro

Timur Belov, Press Officer
+7 495 232 9689

EM
Sam VanDerlip
vanderlip@em-comms.com
+44 7554 993 032
+7 499 918 3134

About the Company

PhosAgro is one of the world’s leading vertically integrated phosphate-based
fertilizer producers in terms of production volumes of phosphate-based
fertilizers and high-grade phosphate rock with a P2O5 content of 39% and
higher.

The Company is the largest phosphate-based fertilizer producer in Europe (by
total combined capacity for DAP/MAP/NP/NPK/NPS), the largest producer of
high-grade phosphate rock with a P2O5 content of 39%, a top-three producer of
MAP/DAP globally, one of the leading producers of feed phosphates (MCP) in
Europe, and the only producer in Russia, and Russia’s only producer of
nepheline concentrate (according to the RAFP).

PhosAgro’s main products include phosphate rock, 39 grades of fertilizers,
feed phosphates, ammonia, and sodium tripolyphosphate, which are used by
customers in 100 countries spanning all of the world’s inhabited continents.
The Company’s priority markets outside of Russia and the CIS are Latin
America, Europe and Asia.

PhosAgro’s shares are traded on the Moscow Exchange, and Global Depositary
Receipts (“GDRs”) for shares trade on the London Stock Exchange (under the
ticker PHOR). Since 1 June 2016, the Company’s GDRs have been included in
the MSCI Russia and MSCI Emerging Markets indexes.

More information about PhosAgro can be found on the website: www.phosagro.ru

Indian Potash Ltd (IPL) has been the leading mineral fertilizer corporation in
India for over 60 years. The company has an extensive sales network in the
country and a wide range of products sold from various types of fertilizers,
seeds and plant protection products to agricultural products.

More information about the IPL can be found at: http://indianpotash.org



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